Court orders DHL to pay former boss Sh8.9m for dismissal after Kirubi's death

Freight company, DHL Worldwide Express Kenya Limited, has been ordered to pay its former Managing Director, Andrew Mutuma, Sh8.9 million in an intriguing battle surrounding late business mogul Chris Kirubi.

Justice Byrum Ongaya criticised the company for failing to give Mutuma a fair hearing and for blaming him for duties that were performed by his juniors.

According to the judge, a superior can only be asked to answer if a task or decision is made by a junior employee in his or her complicity or there is evidence of his or her managerial flop.

“The court holds that duties vested clearly in a professional employee because of reliance on their competence cannot be subject to culpability of their supervisors unless it is shown that their supervisor colluded or made and established,” said Justice Ongaya.

DHL hired Mutuma as a country manager on June 2, 2016. His lawyer Judith Guserwa told the court that his client’s woes started in 2020, when Kirubi was ill.

The court heard that DHL's legal team, together with its South African office, approached Mutuma intending to remove the late Kirubi from the board of directors in Kenya.

Mutuma's lawyer told the court that her client opposed the move, arguing it was both illegal and in bad taste, especially given Kirubi's deteriorating health at the time.

She claimed that Mutuma's resistance to the plan ultimately caused him to lose his job. Following Kirubi's death and burial on June 21, 2021, the CEO for Sub-Saharan Africa allegedly submitted documents to the Registrar of Companies to remove Mutuma from the board of Document Handling East Africa Limited, without issuing him any notice.

Justice Ongaya was told that Mutuma raised concerns about racism and discrimination, citing the appointment of four White South Africans to the Kenyan board.

Mutuma also flagged nnon-compliancewith with the shareholder agreement to the Legal Vice President for Sub-Saharan Africa. Guserwa explained that the late Kirubi had amended the board structure by appointing his daughter, Mary-Ann Kirubi.

Mutuma said that on September 1, 2021, he received a letter from DHL Express CEO for Sub-Saharan Africa, Hennie Heymans, summoning him to a meeting scheduled for two days later. The agenda, he said, was his suspension from duty. Three days later, he was officially suspended.

He further stated that he was served with a notice to attend a disciplinary hearing set for October 21. However, he claimed that he was denied access to the supporting documents needed to prepare his defence.

On November 2, 2021, Andrew Mutuma attended a disciplinary hearing that lasted 10 hours. Ten days later, on November 12, DHL decided to summarily dismiss him. The termination letter was sent on November 15.

In its response, DHL accused Mutuma of failing to perform his duties as Country Manager and Director. The company claimed it had commissioned IRS Forensic Investigations to look into alleged misconduct by Mutuma and other senior staff, but that he declined to cooperate with the probe.

According to DHL, the investigation focused on payments related to a 13th-month or cheque salary, which it said breached company policies and procedures.

The company further alleged that preliminary findings pointed to suspected breaches involving senior employees, including Mutuma. These included unauthorised changes to the company’s employee handbook, specifically policies on the retirement scheme, long service awards and motor vehicle benefits.

DHL also accused Mutuma of signing termination letters without following proper procedure, resulting in legal challenges from former employees who sued for unfair dismissal.

According to DHL, Mutuma was required to resign from his position as a director. The company also denied claims that it had notified the Registrar of Companies to remove him following the death of Chris Kirubi.

DHL maintained that it had the right to appoint two directors, as outlined in an agreement between DHL Worldwide Express BV, Kirubi, and Document Handling East Africa Limited.

Following his dismissal, Mutuma appealed the decision. However, DHL stated that an independent panel found the disciplinary hearing and subsequent termination were conducted in line with the Employment Act. The company insisted that the process was neither unfair nor vindictive.